5 Methods to Find Your Best CRM Channels
5. Test. Bazaz's comment brings the question of the appropriate CRM channel back around to Caplan's original point: The best way to determine which channel is appropriate is to test and learn. It's one main reason direct marketers can't change the definition of "customer relationship management" to "customer relationship magic."
"While in weak economic times, it can be hard to justify spending money on experiments," Bazaz says. "It's necessary to run these to drive your program towards greater optimization."
Hyundai had the benefit of a five-year steady return on investment, so results clearly showed how well tests stacked up against prior efforts, Caplan says. The key was "consistent structured testing" so he knew which offers performed better for which Hyundai owners based on their different stages in mileage, and their varying levels of loyalty.
"Marketers should isolate the variables they want to test (creative, channel, audience, offer, etc.) and set up the contact stream so the importance of the variables can be evaluated," Caplan says. "It is usually best (although not always statistically necessary) to change only one thing in different versions of a contact. E.g., test offer A [vs.] offer B, using the same creative and audience. But do not try to test offer A [vs.] offer B and test creative C [vs.] creative D and audience E [vs.] audience F. It can be done, but more often than not, over-complicated testing structures lead to inconclusive results."